My daughter has started her first job as a Nurse and she has been presented with the usual HR paperwork including 401-K participation. She asked me two questions:
1. Should she sign up for the 401-K?
2. What investment selections should she make?

For her, the automatic savings approach is the best, so I like the the plan for that reason alone. However, the investment selections are typical in that her only choices are various index mutual stock and bond funds managed by a financial firm. All standard stuff: domestic stock, emerging markets, small cap, mid cap, large cap, with a recommended mix based on your age. For her, skewed toward more stocks.

There are no treasury funds, only a money market fund and a "Stable" value fund.

No gold as you would expect.

I could use some advice for her:

1. Participate and take the tax advantage and employer match hoping this makes up for the poor returns of stock and bond funds.

2. Opt out and do a self directed IRA and invest it according to the iTulip approach.

3. Any other ideas you can think of

Thanks,
Steve